Teck Resources has submitted the Social and Environmental Impact Assessment for its Quebrada Blanca Phase 2 copper mine project in northern Chile to the Region of Tarapaca Environmental Authority, the Canadian miner said Monday.
The proposed Phase 2 project would extend the life of the existing mine as a large-scale concentrate-producing operation; the updated feasibility study, including capital and operating cost estimates for the project, is expected to be completed in the first quarter of 2017.
Teck owns a 76.5% interest in the open-pit Quebrada Blanca mine. The remaining interest is owned by Inversiones Mineras, 13.5%, and Empresa Nacional de Mineria, 10%.
Project optimization work for Phase 2 currently underway targets capital costs in the range of $4.5 billion to $5 billion with an initial mine life of 25 years, consistent with the capacity of the revised tailings facility which is located closer to the mine, Teck said.
The new capital cost estimate will include a 140,000 mt/day concentrator and related facilities; a new port facility and desalination plant; and concentrate and desalinated water pipelines.
Quebrada Blanca Phase 2 is expected to have an annual production capacity of over 250,000 mt of copper and 8,000 mt of molybdenum in concentrate for the first 10 years of mine life, the company said.
"A decision to proceed with development would be contingent upon regulatory approvals and market conditions, among other considerations. Given the timeline of the regulatory process, such a decision is not expected before mid-2018," Teck said in a statement.
